Is this rent reasonable?

[squidgernetball]

Can I ask what the salon is? Hair? Beauty? I think you're right to be wary of her and her methods. If you rent a room, you can do what the hell you like hours wise, as long as your rent gets paid. If she's not making money, I'd question her ability to manage it more than your ability to generate it.
Yes, salons come with huge expenses, but my lessees were paying £400 pm inclusive if everything, which covers a large portion of my rent but the rest of the outgoings are mine alone!

Vic x

 

[daydreams01]

Thank you everyone! Yes I do understand the 'everything else' bits, totally! Of course she's free to ask what she wants but £960 each (before service charge!) comes to £500 more than what she's renting the full salon for
However to me, that should just be included in rent-to add on a 10% 'service charge' is actually in my opinion an unreasonable way to word that, as those rates in some instance don't go up and up (e.g. Giving £200 for £2k takings, £400 for 4K) isn't proportionate to the rates I'd be using.
I guess for me there is also more to it in regards to how we are treat by her etc which is making me hesitant?
It's been so good to get a variety of opinions and of course I'm happy to pay a fair rate. As advice suggested above I think she's going to find it difficult to let control go e.g. Holidays, how we run our columns and also a big sticking point-if the second therapist doesn't want to go for it that means I think I can't as she will push the clients to her own staff member first.
I have a beautiful space to work from home so it feels like it's coming to crunch time-I can't set up and advertise as I'm employed in salon so do you take the leap or not. Decisions decisions

If you have a clientele and a space you can utilise then why not give it a go. Just give yourself a bit of time to get some savings behind you as you will prob see your income drop quite a bit to start with but it's worth it eventually and always more rewarding working hard for yourself then someone else especially if they don't appreciate what you do.

 

[redlottie13]

Why don't you go it alone and open a small salon x

 

[Holisticfreak]

Thank you so much to everyone for your great advice and kind responses to a newbie!
I'm meeting her on Monday to discuss reduced rates and I have questions that we've not had a chance to speak about. I'm going to have a business head on and see what's on offer-as it makes transitioning better as I can finally start advertising myself if I'm self employed!
I'm also meeting with another salon re a room and I have the possibility of a day in a friends business near me and also another one for two days in husbands business.
So I think this has really given me a kick up the bum for actually believing in myself and my work!
It's a shame as I'm hesitant to leave where I have good work friends and a good client base but if I'm an employee it's important for me to feel that I'm actually wanted-if I'm my own boss I won't have that problem as it'll be part of the job to continually keep growing and showing what I can do

 

[redlottie13]

Thank you so much to everyone for your great advice and kind responses to a newbie!
I'm meeting her on Monday to discuss reduced rates and I have questions that we've not had a chance to speak about. I'm going to have a business head on and see what's on offer-as it makes transitioning better as I can finally start advertising myself if I'm self employed!
I'm also meeting with another salon re a room and I have the possibility of a day in a friends business near me and also another one for two days in husbands business.
So I think this has really given me a kick up the bum for actually believing in myself and my work!
It's a shame as I'm hesitant to leave where I have good work friends and a good client base but if I'm an employee it's important for me to feel that I'm actually wanted-if I'm my own boss I won't have that problem as it'll be part of the job to continually keep growing and showing what I can do

Good for you and what a lovely attitude its given you ....good luck x

 

[claire@evolve]

If you have the space go for it - you mentioned your husband ? Would they back you with bills to you get set up ? I'm in Yorkshire - there's 5 of us paying 50% of our earnings - I paid £12,000 last year ( stock provided) ( part time) we all come an go around our clients ( but we all cover each other's backs , holidays illness ect) , we could easily start a shop between us but as we all have Familys this suits us - do you have a family ? Take this into consideration if your starting on your own as your family will come first . Could you and the other girl take on a shop ? I think you would both make a killing if you set up together . Beware of contracts - that to me suggests you are making her money and she wants to tie you in ! Make sure a solicitor checks it over .

 

[Holisticfreak]

Hello and yes he said he will cover me in regards to me potentially not pulling in a wage for the first couple of months until I find my feet, which is lovely.
Wow your set up sounds great and hearing this is really motivating! I've a friend who is being made redundant and she's retraining and already has clients! I know I'm good at what I do but it's taken me a long time to really believe this so this year is for me.
Thank you very much for the advice re contracts and I didn't think of it that way. I'm lining myself up for other things but I'll see what she says on Monday. Ultimately she is money mad so I think she'll push for more but I have my limit and nothing will budge me.

 

[Nettic]

I pay £400 a month for my rent Wednesday to Saturdays. £25 a day I'm in Liverpool. I think that's expensive you could get your own small shop for that xxxx

 

[daydreams01]

I pay £400 a month for my rent Wednesday to Saturdays. £25 a day I'm in Liverpool. I think that's expensive you could get your own small shop for that xxxx

Even if she could find a shop to rent for that much, she would then need to double that amount to cover business rates, utilities not to mention stock and all the other bills that come with owning a salon and then hopefully have some left over to pay herself a wage!

 

[leenie81]

Even if she could find a shop to rent for that much, she would then need to double that amount to cover business rates, utilities not to mention stock and all the other bills that come with owning a salon and then hopefully have some left over to pay herself a wage!

She could maybe get business rates relief . I have rented two shops and been not a massive increase in monthly outgoings to when I rented a room off someone . It's also a added bonus if you get someone to rent space in your shop

 

[Nettic]

Even if she could find a shop to rent for that much, she would then need to double that amount to cover business rates, utilities not to mention stock and all the other bills that come with owning a salon and then hopefully have some left over to pay herself a wage!

She still has too pay her stock and you can also get small business relief with taxes and thing so I'm pretty sure she could have a shop for that!! Certainly in my area I know you can [emoji4]

 

[daydreams01]

She still has too pay her stock and you can also get small business relief with taxes and thing so I'm pretty sure she could have a shop for that!! Certainly in my area I know you can [emoji4]

Yeah I guess if it was only a small shop then it would qualify. No such luck n my area unfortunately. Currently trying to appeal against my valuation but I very much doubt it will go in my favour, council have just readjusted the ratings and I would have been exempt if they hadn't put us all up, it's so annoying and I could take someone else on if I was exempt!

 

[RED STAR]

O.K...the way I see it....
Those who take on the responsibility, cost, worry, stress, and all the Sh*t that goes with running a business........can ask what they like!
You DO NOT have to pay it/ stay there........
You can leave, and set up yourself.
All will be good.......

Please do not assume every salon owner is taking the pi*s out of their staff/renters....
We are ALL wanting to make a profit....without this, we do not run a business....we have a hobby.

 

[squidgernetball]

O.K...the way I see it....
Those who take on the responsibility, cost, worry, stress, and all the Sh*t that goes with running a business........can ask what they like!
You DO NOT have to pay it/ stay there........
You can leave, and set up yourself.
All will be good.......

Please do not assume every salon owner is taking the pi*s out of their staff/renters....
We are ALL wanting to make a profit....without this, we do not run a business....we have a hobby.

Totally agree with this.

My lessees can literally turn up, work, leave. They aren't juggling bills, stock, staff, rubbish collection, landlords etc.

Yes you could get a salon, and yes, that rent seems high, but as @RED STAR says, you can leave. It's in most business owners interests to have regular lessees who turn up, work, pay rent etc so she may negotiate but she may not.

Good luck x